New Mexico experiencing $850 million windfall from elevated oil prices…just don’t expect to get any of it back

According to numerous news reports (this one from KRQE 13) in large part due to the war in Iran, New Mexico is experiencing yet another windfall from oil and gas. Estimates are currently that New Mexico has received an estimated $850 million (above and beyond the billions it receives from oil and gas every year). Of course, that money has to come from somewhere and New Mexicans (along with everyone else) are paying more at the pump.  LFC analyst Ismael Torres says the average household pays $750 more every month to cover the extras costs for groceries and gas.

But, don’t expect New Mexico’s “progressive” Legislature to return any of that money to taxpayers. Gov. Lujan Grisham has said nothing about a special session.  Representative Micaela Lara Cadena (D-Mesilla) made it clear that her intentions are to spend the money, saying “I hope we hold the purpose of those funds very close to heart and make sure when money comes to our coffers like that, we spend it and spend it well,”

The Rio Grande Foundation has long fought for tax cuts and broader tax reform, but even one-time rebates would be superior to more spending.